Global Financial Inclusion

This document is a compilation of four articles discussing how financial inclusion can be achieved by scaling up innovation across private, public, and social sectors. They present lessons from McKinsey’s Social Sector office’s work with these institutions as they develop and scale up solutions in the face of complex societal challenges.

The publication highlights the need for private businesses to innovate and scale business models that deliver quality and value to consumers without relying on penalty based revenues in order to generate sustainable returns. It urges governments to establish appropriate regulations and oversight to protect consumers while enabling a range of providers to deliver services at sustainable costs. The articles discuss:

• Challenges faced by institutions committed to expanding financial inclusion services;
• Promising financial inclusion strategies in the areas of distribution, human capital, risk management, product development, and regulations;
• Approaches that organizations can use to deliver financial services to customers at sustainable costs;
• How organizations can use correspondent-banking strategies to deliver financial services through existing non-financial channels such as convenience stores and gas stations;
• Developing mobile financial services offerings to reach the unbanked;
• Human capital issues.